Homeowners nationwide continue to grapple with the risks posed by wildfires, floods, tornadoes, severe storms, and other natural disasters. In light of these threats, Insurance Commissioner Mike Chaney emphasizes the importance of developing a comprehensive disaster plan to mitigate potential risks.
“Understanding the specific perils in your area is the first step in establishing a plan,” Chaney stated. “Insuring your house and car can safeguard you from financial devastation.”
Homeowners are advised to consult with insurance agents to tailor coverage to their needs, ensuring policies adequately address all potential hazards. Comparing quotes from multiple insurers and researching company rates is also recommended.
After assessing risks, creating a detailed household inventory is crucial. The National Association of Insurance Commissioners (NAIC) offers a Home Inventory App, allowing users to catalogue their assets and store records online for easy access during emergencies.
Additional key components of an effective disaster plan include:
- Assembling an emergency supply kit.
- Storing copies of important documents in a safe, dry location, and keeping originals in a safe deposit box.
- Designating an out-of-state contact for family communication during emergencies, with all family members aware of the contact’s details.
- Establishing an emergency savings account.
- Keeping a small amount of cash, particularly in small bills, at home to address immediate needs when ATMs and credit cards may be unavailable.
- Exercising caution in sharing personal financial information, such as bank account, social security, or credit card numbers.
